Digital Strategy Update and Enablement Plan for Hamilton HAMILTON CITY COUNCIL

Transcription

1 Digital Strategy Update and Enablement Plan for Hamilton HAMILTON CITY COUNCIL 18 September

2 CONTENTS 1. EXECUTIVE SUMMARY BACKGROUND AND PURPOSE... 5 DIGITAL HAMILTON THE FOUNDATION DIGITAL ENABLEMENT OPPORTUNITIES AND CHALLENGES... 6 HEALTH OPPORTUNITIES... 6 EDUCATION OPPORTUNITIES... 7 BUSINESS OPPORTUNITIES... 7 CHALLENGES... 8 SUMMARY DIGITAL ENABLEMENT - OVERARCHING APPROACH SPECIFIC INITIATIVES...11 PROMOTE BUSINESS UPTAKE SUPPORTING REGIONAL INITIATIVES FACILITATE FIBRE BUILD AND DEPLOYMENT SUPPORT AWARENESS RAISING INITIATIVES REVIEW OF COUNCIL SERVICES MANAGEMENT AND OVERSIGHT...15 SINGLE POINT OF CONTACT IN HCC FOR THE SUCCESSFUL UFB2 PROVIDER COMPANY ASSISTING WITH HOUSING DATA CENTRES/ACTIVITY CABINETS APPENDIX 1: ECONOMIC CONTEXT...16 HAMILTON AN ECONOMIC POWERHOUSE THE HAMILTON PLAN APPENDIX 2: CURRENT STATE AND FUTURE GROWTH...19 BRIEF HISTORY OF THE DEVELOPMENT OF THE ULTRAFAST FIBRE ENTITY IN HAMILTON CURRENT PHYSICAL DEPLOYMENT OF UFB FUTURE RESIDENTIAL GROWTH IN GREENFIELD/GROWTH AREAS RESIDENTIAL AND COMMERCIAL/ORGANISATION UPTAKE SPECIFIC APPLICATION AND SUPPORT OF ULTRAFAST FIBRE BROADBAND HAMILTON CITY COUNCIL S USE AND FUTURE PLANS FOR ULTRAFAST FIBRE APPENDIX 3: STAKEHOLDER ENGAGEMENT ON DIGITAL AND UFB UPTAKE AND OPPORTUNITIES...26 D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 2

3 1. EXECUTIVE SUMMARY 1.1. This document provides a broad update to the 2009 Digital Hamilton Strategy developed by Hamilton City Council (HCC), reflecting progress and changes since that strategy was developed, as well as progress around Digital Enablement Planning It has been developed in support of HCC s 10 July 2015 Registration of Interest-Support for UFB2 and the Mobile Black Spot Fund (MBSF) to the Ministry of Business, Innovation and Employment, which can be accessed at hamilton.govt.nz/digitalhamilton 1.3. Hamilton is well advanced around digital enablement, with UFB1 anticipated to be completed in December 2015 and an increasing demand for digital technology across the business and public sectors as well as the community However, as outlined in this document, there are gaps in coverage that need to be addressed if the city s strategic goals are to be realised. There are real opportunities for business, public and community groups to achieve greater benefits driven by improved awareness There is also further opportunity through the support and collaboration across the wider Waikato Region with other councils as they also embark on their digital enablement journey Hamilton is anticipating continued steady population growth i.e. between 2013 and 2045 the city s population is projected to increase by almost 40% to 210,000 people an additional 60,000 people Many of these additional people will be located in Hamilton s greenfield/growth areas, where almost 10% of the city s population is forecast to reside by 2021 (refer Appendix 2) This Digital Enablement Plan (DEP) identifies a number of major current challenges to improved digital enablement, and five key initiatives that help to address them and achieve the wider goals for the city Overall, the DEP s approach is driven by the following concepts: Hamilton is a sophisticated and fast growing economy, located in the centre of the Waikato, Auckland and Bay of Plenty population and growth triangle (often referred to as the Golden Triangle ), home to approximately two million people i.e. almost half of the country s population. A strong digitally enabled city will be critical to the wider region in terms of productivity, skills, competitiveness and population. Hamilton is well advanced on the digital enablement journey, but needs to finish the job to avoid black spots in coverage and to ensure continued and stable access to digital services by residents, businesses and organisations. Management of digital initiatives is now part of Hamilton s wider Economic Development Agenda and processes for the city. HCC s role is focussed on being a facilitator rather than investor, co-ordinator rather an enforcer, and to ensure that the right policies and plans are in place so that doing business in Hamilton is easy. HCC will look to work with enthusiastic industry groups keen to take a lead on developing awareness and supporting change in the digital technology arena, as well D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 3

4 as look to leverage a range of key technology-based events across the Waikato Region and work with other councils for joint benefit. Where possible, HCC will assist in facilitating the UFB2 and MBSF deployment process The following diagram outlines the key focus areas of Hamilton s DEP. Key Focus Areas of Hamilton s Digital Enablement Plan D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 4

5 2. BACKGROUND AND PURPOSE DIGITAL HAMILTON THE FOUNDATION 2.1. Hamilton has been on a digital journey since 2009, during which time there have been significant developments in infrastructure deployment and uptake by businesses and communities of digital technology and models In 2009, HCC developed a digital vision and strategy for Hamilton, resulting from work undertaken in 2008 on the city s Economic Development Strategy The city s Digital Hamilton Strategy was developed, with contributions from a wide range of stakeholders, including the education sector, suppliers, business, innovation hubs and other local authorities in the Waikato Region The strategy identified that the four key themes of the Economic Development Strategy would all be advanced by a more digital Hamilton i.e.: Maintain and develop a thriving business environment. Build on economic strengths. Attracting and growing talent. Developing an enterprise culture Development benefits identified were: Productivity. Growth. Connectivity Digital Hamilton identified four major initiatives to achieve the goal of a more digital city i.e.: Cohesion. Awareness. Innovation. Infrastructure The 2009 Digital Hamilton Strategy is available at hamilton.govt.nz/digitalhamilton 2.8. Implementation of the strategy was originally driven through Opportunity Hamilton (noting that this organisation has now ceased) HCC, as part of its Business as Usual approach, continues to support the goals of Opportunity Hamilton through its Economic Development Agenda For the next phase in the strategy many of the levers and approaches required to drive further ongoing digital transformation have developed since 2009, and this document sets out the current (as at September 2015) situation and summarises actions to achieve greater benefits This DEP: Summarises the major opportunities and challenges associated with achieving greater economic and community uptake and benefits. Proposes the best future approach for Hamilton to continue to support digital benefits. Sets out the specific initiatives in more detail and how they will be managed. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 5

6 3. DIGITAL ENABLEMENT OPPORTUNITIES AND CHALLENGES 3.1. In the process of creating this document and the Registration of Interest-Support for UFB2 and the Mobile Black Spot Fund, HCC spoke to many groups including representatives from the UFB regional fibre provider (Ultrafast Fibre Ltd), tertiary education institutes, technology businesses, the health sector, and business and innovation interest groups (refer Appendix 3) Several consistent and key themes were articulated in these discussions, relating to opportunities for improved uptake of services, the importance of raising awareness and supporting change, and the need to think wider than just the city boundaries when considering access to UFB. HEALTH OPPORTUNITIES 3.3. The health sector, particularly in the Waikato, is embracing new technology to support virtual healthcare To see examples of how full deployment of UFB (including mobile services) can benefit the population as a whole, initiatives being driven by the relevant organisations, and how HCC can possibly assist, it is worth looking at the New Zealand Telehealth Forum and Waikato District Health Board s virtual healthcare role. These have been established to promote the use of technology and networks in the provision of health, and in particular maximising the benefit of the Government's ultrafast broadband programme The National Health IT Board has funded the establishment of the Forum as it recognises Telehealth is an important component of an integrated model of health care. Telehealth is the term for the use of information and communication technologies to deliver health care when patients and care providers are not in the same physical location. To be effective, Telehealth relies on fast broadband internet services. Telehealth enables health professionals to diagnose illnesses and provide treatment without being in the room with the patient. Health care-related education, research and evaluation can also take place remotely Telehealth has many benefits including: People can be seen by their health professional and care team without having to leave the area in which they live. People can better monitor and manage their health. Lower health care costs. More flexibility for the health workforce The Waikato District Health Board (WDHB) has a newly created role of Clinical Director Virtual Healthcare to drive virtual healthcare and to deliver and report on initiatives that they are doing to improve health with technology. The incumbent is also the Deputy Chairperson of the New Zealand Telehealth Forum. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 6

7 3.8. WDHB has a Telehealth Strategy in place focusing on equity of assets and outpatient clinics. The future will be in providing elderly and chronically ill/infirmed/disabled better access to secondary and primary health care. Technology and network access will play a big part in the provision of this healthcare remotely. For example, through the use of ipads in rest homes, or video conferencing (VC) for check-ups and assessments e.g. diabetes and rest home consultations in real-time over VC without having to attend hospital. This will especially apply to rural areas outside of Hamilton, so dead spots for mobile or rural coverage will be impediments to achieving these outcomes The Clinical Director believes that HCC can play a part in awareness and education (refer Awareness Initiative in Section 5) and is keen to engage in discussions about setting up and allowing access to schools and HCC facilities (e.g. libraries) for education and health via VC. EDUCATION OPPORTUNITIES Remote and digital enabled education provides the benefit of access to a wider group of people and in a more effective way. This developing delivery of education is a key focus for Hamilton s Wintec and its learning entity LearningWorks. There is both a growing desire by students and a need for digital learning and this requires the necessary networks to be effective for delivery of it within Hamilton, the wider Waikato rural community and New Zealand as a whole. Learning works is moving to a model with far more digital training delivery. They are providing digital interactive learning in both the traditional trade courses with components delivered digitally, and also providing digital literacy courses Hamilton has two internationally recognised tertiary learning institutions (the University of Waikato and Wintec) with further potential for Hamilton to grow as an education centre These institutions have a large focus on business, technology, computers and innovation which both attract and develop the skills of the future Ensuring complete coverage with UFB for consistency of network performance within the city boundaries is key to attracting and retaining talent and providing the platform from which they can work. BUSINESS OPPORTUNITIES Hamilton s sophisticated business makeup has seen it move into the tertiary/quaternary space. Industries in these areas require the very best access to ultrafast fibre. Hamilton s economy is reflecting both its growth and scale. Just on 60% of Hamilton s economy is based in the Tertiary and Quaternary 1 industries, rather than primary and secondary industries (refer figure below) Further information on Hamilton s economy can be found in Appendix 1. 1 The Quaternary Sector is based on knowledge and skill. It consists of intellectual industries providing information services, such as computing and ICT (information and communication technologies), consultancy (offering advice to businesses) and R&D (research, particularly in scientific fields). D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 7

8 3.16. Significantly, several highly skilled people reported frustration living just outside UFB areas, and not being able to work from home or remote locations as they would wish. This will be an important factor in continuing to attract highly skilled people to the region who require a specific lifestyle, while leveraging the existing UFB infrastructure for their businesses. Many people did not see the physical boundary of the city as the logical termination point for access to UFB services, reinforcing the importance of extending the reach of UFB as comprehensively and as widely as possible Engagement also took place with organisations such as the Waikato Chamber of Commerce and the Waikato Economic Strategy Governance Group who identified that there was significant opportunity for improving businesses by leveraging digital technologies. In general they supported a view that it was up to the industry groups themselves to take a lead, supported by HCC where appropriate These initiatives included using technology in the business and the connectivity that the better networks enable for the development of portals to bring together students, career options, employers and employment opportunities in the region Awareness (or lack of it) on how to get the best out of the new UFB technology was raised frequently as barrier to further uptake with differing views as to the role of Council in addressing that. CHALLENGES When put together, several key challenges to accelerating the rate of UFB uptake and increasing the benefits have been identified: A physical deployment gap in access to UFB and supporting mobile technology has been clearly identified and articulated in HCC s Registration of Interest-Support for UFB2 and the MBSF. The effect of this gap would be to exclude up to 10% of Hamilton s population from UFB. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 8

9 The extension of UFB as widely and comprehensively as possible outside the city boundaries, and the opportunity for collaboration with other councils in the region on common goals and challenges. A coordinated awareness raising approach - specifically the awareness is not about the availability of the technology but appears to be more focused on the practical realities of implementation and transformation. The need is to not just inform about what is available, but focus on the how of change. That is a challenge best met by the business community itself. SUMMARY Although Hamilton has done well in getting current coverage and initial uptake, the job is not yet complete Gaps in physical deployment of UFB and mobile coverage within and outside the city boundaries will create silos of access to services, and potentially restrict attracting skilled people to the region There is a consistent theme about raising awareness on how to get the best out of the UFB technology, and several industry groups are keen and able to play their part in supporting initiatives to address this. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 9

10 4. DIGITAL ENABLEMENT - OVERARCHING APPROACH 4.1. Hamilton is mature in the deployment of UFB, but needs to finish the job. The focus is not on establishing the environment for uptake and success, rather on supporting and encouraging avenues for improved benefits Unlike other towns which are just starting on the deployment of UFB and need to create a different level of awareness and uptake, Hamilton now looks to drive digital uptake integrated within the wider economic development context. As part of that HCC has a clear view about its role in improving productivity, fostering development and supporting initiatives. Uptake is a business responsibility, and while HCC can create and foster the right environment through policies and facilitating infrastructure, the business community should take the lead on driving uptake At the same time territorial authorities in the Waikato Region are looking to collaborate and create benefits for everyone within the region Therefore the overarching approach can be summarised as: Actively facilitate deployment of UFB2 and Mobile Black Spot improvements through coordination of HCC resources, consent process and coordination across other infrastructure projects. Work in collaboration with other councils in the Waikato Region on common initiatives. Work with relevant industry groups and forums to facilitate and support awareness raising of how best to leverage the technology The digital enablement journey for Hamilton and future focus areas is summarised in the following figure. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 10

11 5. SPECIFIC INITIATIVES 5.1. Five specific digital initiatives have been identified in the DEP to improve the outcomes for the city and region: a) Promote Business Uptake. b) Supporting Regional Initiatives. c) Facilitate Fibre Build and Deployment. d) Support Awareness Raising Initiatives. e) Review of Council Services. PROMOTE BUSINESS UPTAKE 5.2. Where practical, HCC will work with and support industry groups keen and able to take a leading role in promoting the increased uptake of digital technology for improved economic results The Waikato Chamber of Commerce has offered to actively drive initiatives related to uptake and transformation, especially across the region. They have engaged with other councils and organisations in the Waikato Region. HCC will support this initiative HCC will also support other industry groups, where practical, who wish to promote uptake on a case by case basis. SUPPORTING REGIONAL INITIATIVES 5.5. Many groups engaged through the DEP review process reported that the digital uptake opportunity is not limited by the city boundaries, and that the borderless nature of digital technology requires a wider and more collaborative approach across the region HCC has had initial discussions with the following councils in the Waikato Region, recognising the joint opportunity and the ability to leverage the experiences of Hamilton: Hauraki District Council. Matamata-Piako District Council. Otorohanga District Council. South Waikato District Council. Taupo District Council. Thames Coromandel District Council. Waipa District Council. Waitomo District Council. Waikato District Council. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 11

12 5.7. Collaboration offers the potential to provide cost-efficiencies and consistency across our combined areas. Discussions are at a very early stage and while no commitments have been agreed at this time, initiatives will be further explored during implementation of the DEP The response to date indicates favourable support to establish a Digital Working Group to investigate the collaboration projects with representatives from councils in the Waikato. All projects are subject to council approval and budgetary provision Initial discussions identified a varied range of possible shared deliverables as outlined in the table below. COLLABORATION PROJECTS - INDICATIVE ONLY Projects Industry/ Business events and workshops Digital champion Digital mentoring programme Digital day showcase digital technology Educational and awareness material Engage with the Waikato Chamber of Commerce and other key stakeholders Additional notes Inform businesses and organisations about the digital opportunities increased connectivity presents and how business transformation can occur through online services. This would be a new role specifically dedicated to promotion/facilitation of UFB and RBI, and would be shared by the Waikato councils. The digital champion will organise workshops and other events that promote digital technology and ensure good uptake rates in our communities. The digital champion will organise a digital mentoring scheme promoting digital use and raising awareness of what can be achieved online. Mentors may need to be identified from across the region and as such this project will be advanced in collaboration with other Waikato councils where possible. An expo will help our community to be digitally connected and strengthen the region s ICT position. The expo will run workshops and vendor exhibits that will showcase techy gadgets and applications that can be used over UFB and RBI and mobile applications. There may also be an opportunity for a travelling expo. Due to the potential size of this project this will be advanced and co-funded in collaboration with other councils where possible. The Council will provide educational resources/community awareness material, and develop online information on the Councils existing website or a new platform. This project will be advanced and co-funded in collaboration with other councils where possible. The Waikato Chamber of Commerce has expressed an interest in coordinating business targeted hubs, information, education and doing this across the region working with other business associations and groups. Engagement with the Waikato Chamber will be advanced in collaboration with other councils where possible. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 12

13 FACILITATE FIBRE BUILD AND DEPLOYMENT The following means to streamline the rollout of UFB2 and address Mobile Blackspots were identified in HCC s 10 July 2015 Registration of Interest Support for UFB2 and the Mobile Black Spot Fund and included: From a consenting perspective, Hamilton s District Plan provides for activities such as the rollout of ultrafast fibre as a Permitted Activity i.e. there will be no planning impediments from a resource management perspective. Significant reduction in application fees for Corridor Access Requests around cabinet areas i.e. discounted from $960 to $400 per application. HCC holds a Utility Coordination Meeting every three months for key stakeholders (e.g. electricity, gas, ultrafast fibre) where HCC staff and key utility providers meet and discuss various issues of mutual concern and benefit, including: infrastructure works happening in the city; traffic management; health and safety issues; opportunities for coordination; building relationships. Plans of HCC s infrastructure in the city will be made freely available to the successful UFB2 provider company for Hamilton, with a number being online e.g. City Waters Viewer is a mapping system that allows the public to view geographic data and information about Council s water, stormwater and wastewater infrastructure in Hamilton. Refer hamilton.govt.nz/our-services/water/citywatersviewer/pages/default.aspx Consideration will be given to establishing a single point of contact in HCC around all issues concerning ultrafast fibre to assist in the smooth progression of UFB2 deployment. Working with the successful UFB2 provider company to investigate potential use of HCC properties to house the likes of data centres and activity cabinets. HCC will work with the successful Mobile Black Spot Fund provider to assess accommodating the deployment of network infrastructure/equipment for identification of suitable low cost deployment options. For example, this could include access to HCC s portfolio of land, rooftops and existing infrastructure. HCC will work with the successful UFB2 provider company to investigate potential use of Council properties to house the likes of data centres and activity cabinets in strategic locations of the city. Of note is that central office routers, switches and modems for Ultrafast Fibre Ltd s UFB1 operation are currently housed in HCC s main municipal building complex. SUPPORT AWARENESS RAISING INITIATIVES A key awareness raising opportunity will occur in April 2016 when Ultrafast Fibre Limited (UFF) plan to stage a two day event to celebrate completion of UFB1 within Hamilton This will be a key event to raise awareness of how to use the new UFB technology and in particular dispel many of the myths surrounding transition to UFB HCC will work with UFF, the Waikato Chambers of Commerce and other relevant groups to promote and encourage involvement in the event. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 13

14 5.14. This event provides a natural anchor point around which to plan supporting awareness raising activities, whether publication, promotion on the Council website, or facilitating discussions with interested groups Other awareness raising initiatives will be coordinated with the other councils in the region and with groups such as the Chamber of Commerce as their plans are developed. REVIEW OF COUNCIL SERVICES HCC is already offers a comprehensive range of online services (e.g. property searches, dog registration process, and payment of bills such as rates and parking infringements) via its website HCC is actively working on deploying mobility related technology and software to frontline staff to improve customer services and efficiency in processes e.g. Parks staff, Building Officers and Asset Managers Ongoing reviews of Council s services to identify opportunities to further extend use of digital technology to improve access and reduce compliance and delivery costs is part of ongoing efficiency work. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 14

15 6. MANAGEMENT AND OVERSIGHT 6.1. Digital uptake and the resulting delivery of business benefits is viewed within the context of the city s Economic Development Agenda. This sets the following context: Economic Development is the key ingredient for a thriving, prosperous community and a thriving, prosperous community in turn leads to greater economic activity. HCC s Economic Development agenda sets the scene for Council to work with the city s business community and others to energise economic growth and strengthen Hamilton s contribution to the New Zealand economy. Specifically, this entails creating the best possible business environment for business to invest with certainty and confidence. HCC s key role is as a facilitator rather than an investor, a co-ordinator rather than an enforcer, and to ensure that the right policies and plans are in place so doing business in Hamilton is easy. Our aim is to build a solid foundation for sustainable growth. Through working in partnership with business and industry sectors, HCC will establish clear guidelines for future economic development an economic growth agenda the city s entire business community has a stake in, a commitment to, and a desire to implement Digital enablement will continue to be managed through the overarching economic development agenda and relevant processes, and within the context above As Hamilton is mature in its deployment of UFB and has been executing against a Digital Strategy since 2009, the need for a separate steering committee is not advocated HCC expects to receive ongoing feedback on opportunities to improve policies and plans through normal engagement processes In addition, HCC will look to implement the following steps to improve engagement and delivery of specific initiatives. SINGLE POINT OF CONTACT IN HCC FOR THE SUCCESSFUL UFB2 PROVIDER COMPANY 6.6. HCC will establish a single point of contact in Council around all issues concerning ultrafast fibre that the UFB2 provider company could access in the first instance. This should assist in the smooth progression of the UFB2 deployment programme throughout Hamilton. ASSISTING WITH HOUSING DATA CENTRES/ACTIVITY CABINETS 6.7. HCC will work with the successful UFB2 provider company to investigate potential use of Council properties to house the likes of data centres and activity cabinets in strategic locations of the city. Of note is that central office routers, switches and modems for Ultrafast Fibre Ltd s UFB1 operation are currently housed in HCC s main municipal building complex. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 15

16 APPENDIX 1: ECONOMIC CONTEXT HAMILTON AN ECONOMIC POWERHOUSE 7.1. Although Hamilton has a sophisticated and fast growing economy, and will be one of the first cities to complete the initial UFB1 rollout, the continued rollout of ultrafast fibre to the remainder of the city not covered by UFB1 after December 2015 is considered essential to maintain its competitive economic and social edge Some of Hamilton s key characteristics are outlined below Hamilton is located in the centre of the Waikato, Auckland and Bay of Plenty population and growth triangle (often referred to as the Golden Triangle ), home to approximately two million people i.e. almost half of the country s population. This figure is projected to increase to three million people by Almost 155,000 people live in Hamilton, making it the country s fourth largest city (as well as the largest inland city). In the last year, it s estimated that the city s population grew by 2,800 people, making Hamilton one of the fastest growing places in New Zealand. Between 2013 and 2045, the city s population is projected to increase by almost 40% to 210,000 people i.e. an additional 60,000 people The city has a youthful population, with around 60% of people under the age of In February 2014, Hamilton was home to 13,616 businesses employing 83,182 people The city has a total land value of $10.9 billion and a capital value of $26.4 billion Half of Hamilton s employed workforce is in the Highly Skilled and Skilled occupations. The city also has a larger proportion of people in its employed workforce who have higher level qualifications than nationally i.e. diploma, degree or post-graduate qualifications Hamilton is home to two major tertiary institutes the University of Waikato and the Waikato Institute of Technology (Wintec), which between them have over 40,000 student enrolments. These institutes, combined with Te Wananga o Aotearoa s strong academic achievements, mean Hamilton is well provided for in regards to tertiary education. Nearly 30% of the city s residents are involved in some form of tertiary education The University Waikato is New Zealand s leading information-technology (IT) organisation, with it being a major driver of the region's prosperity, generating 3% of the Waikato's total regional revenue and nearly $1 billion for the New Zealand economy, contributing $474 million to New Zealand s GDP Hamilton is also home to 14 secondary schools, 6 intermediate schools and 33 primary schools all with an increasing appetite for digital technology and use of ultrafast fibre. A new middle/high school that will accommodate 600 students is also currently under construction in Rototuna in the city s north-east greenfield/growth area and is planned to open in the 2016 academic year Hamilton s GDP grew strongly in 2014 and has maintained steady growth over the longer term. Year ended December 2014 GDP growth was 2.9%, which was higher than the 2.5% national growth recorded during the same period. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 16

17 7.13. Big Data and a strong analytics industry are located in Hamilton because of the safety that the city can provide to these critical thinking industries i.e. as the city is relatively safe from volcanoes, earthquakes and tsunamis, Hamilton is the city to de-risk Big Data requirements Spark, the Earthquake Commission (EQC) and Datacom have large investments in Hamilton through their data centres, call centres and switching plants Knowledge-driven enterprise has also seen the rise in the city of an aviation cluster, a fastgrowing manufacturing industry, a telecommunications hub and the development of an inland port and logistics centre The initial stages of the inland port and freight logistics centre will cover 80 hectares. It is estimated that the proposed centre could create an additional 11,000 jobs for the region and contribute an additional $1 billion in GDP by The Waikato has the highest per capita central government capital investment in transport and communications, with approximately 65% of New Zealand's freight being transported between Auckland, Hamilton, and Tauranga. The volume of freight transported between these centres is forecast to double over the next 20 years Hamilton also has thriving research-based industries, with MBIE recognising the area as having an advantage in Agri, chemicals, minerals and high-tech manufacturing Innovation Park, located close to the University of Waikato, is New Zealand s smartest Agri-science park in New Zealand, leading the way in the Agri-Innovation space Waikato Hospital (the largest base hospital in the southern hemisphere as well as the largest training hospital in Australasia) has around 5,000 employees. A recent half a billion dollar expansion to the hospital complex in 2013 has ensured that Hamilton is a city with strong investment in critical service areas such as health Other key health facilities in the city include the Henry Bennett Centre (mental health); Southern Cross Hospital; Braemar Hospital; Anglesea Clinic; as well as numerous other facilities such as 24-hour medical centres and various health specialists. THE HAMILTON PLAN The Hamilton Plan - Our Plan to Build a Stronger Economy and a more Attractive City for Families, was adopted by HCC in August 2014 and is Hamilton s development blueprint for the next decade Priority 3 of the Hamilton Plan is about Providing Outstanding Infrastructure, with Support for Ultrafast Fibre being a key means of achieving this The Hamilton Plan also has the following targets: 100% of ultrafast fibre will be rolled out to every business and home by The city will be 30 year future proofed with horizontal infrastructure of water, waste, power and ultrafast fibre To meet these targets, HCC will need to be successful in its ROI-Support for UFB2 to the Ministry of Business, Innovation and Employment (MBIE), as coverage of the city after completion of Stage 1 (UFB1) of the present deployment programme (anticipated to be D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 17

18 completed by December 2015) will leave a significant number of Hamilton s residents without access to ultrafast fibre i.e. 15,760 people by 2021 (9.6% of the city s population) In addition to ensuring the continued rollout of ultrafast fibre in Hamilton, HCC is also looking at how it can further assist in promoting the increased uptake of ultrafast fibre throughout the city, particularly in regard to the commercial sector (this DEP) The Hamilton Plan can be accessed at hamilton.govt.nz/hamiltonplan D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 18

19 APPENDIX 2: CURRENT STATE AND FUTURE GROWTH BRIEF HISTORY OF THE DEVELOPMENT OF THE ULTRAFAST FIBRE ENTITY IN HAMILTON 8.1. HCC assisted the establishment of Hamilton Fibre Network Ltd to develop a high speed urban broadband network in Hamilton. This company commenced operation in March HCC held 34.85% of A shares in Hamilton Fibre Network Ltd through its contribution of the whole of its fibre and duct assets valued at just over $1 million, which provided a key platform to launch their operation. The remaining A shares were owned by Environment Waikato (now the Waikato Regional Council), the University of Waikato, and the Waikato Institute of Technology. The partially issued B Shares were owned by Telco Infrastructure Investments Ltd Hamilton-based Velocity Networks Ltd operated the Hamilton Fibre Network and was a broadband provider offering a range of some of the best broadband plans available in New Zealand at the time In August 2011, both Hamilton Fibre Network Ltd and Velocity Networks Ltd were purchased by a subsidiary of WEL Networks Ltd as part of their plan to deliver ultrafast broadband throughout Hamilton. Ultrafast Fibre Ltd was formed as a joint venture between WEL Networks Ltd and the Crown to undertake work in the Waikato, Bay of Plenty, Whanganui and Taranaki. The assets and customers of Hamilton Fibre Network Ltd and Velocity Networks Ltd provided a strong base to launch the rollout of UFB1 to Hamilton. CURRENT PHYSICAL DEPLOYMENT OF UFB 8.4. Stage 1 (UFB1) of the ultrafast fibre rollout commenced in Hamilton in July Ultrafast Fibre Ltd has advised HCC that they anticipate completing UFB1 of the Government s initial Ultrafast Fibre rollout programme for Hamilton ahead of schedule by December 2015 (originally scheduled to be completed by June 2016) Completion of the final yellow UFB1 rollout stage this year (2015) of ultrafast fibre will result in 7,512 hectares of Hamilton (67.8% of the city s total land area of 11,080 hectares) having access to ultrafast fibre A map showing Hamilton s UFB1 area and the greenfield/growth areas that will not have access to ultrafast fibre is shown below. Even after completion of the final yellow rollout stage there will still be a significant parts of Hamilton that will not have access to ultrafast fibre i.e.3,568 hectares (32.2%) of the city s total land area of 11,080 hectares These parts of Hamilton are the city s growth/greenfield areas. We have superimposed the eight Statistics New Zealand Census Area Units covering the areas that are not planned to get ultrafast fibre after the current deployment programme planned to finish in June 2016 (now anticipated to be completed by December 2015) i.e. Horsham Downs; Sylvester; Burbush; Rotokauri; Temple View; Newstead; Peacocke and Te Rapa North. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 19

20 8.8. The current and projected population in these eight areas that will not receive coverage after completion of UFB1 is relatively significant i.e. at June 2016, it is estimated that 8,610 people will not have access to ultrafast fibre (5.6% of the city s population) If the UFB2 programme does not proceed in Hamilton, this number is projected to increase to 15,760 people by 2021 (9.6% of the city s population of 164,200). Greenfield/Growth Areas in Hamilton that will not have Access to Ultrafast Fibre Following Completion of Stage 1 of the Government s UFB1 Programme D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 20

21 Greenfield/Growth Areas in Hamilton that will not have Access to Ultrafast Fibre Following Completion of Stage 1 of the Government s UFB1 Programme D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 21

22 FUTURE RESIDENTIAL GROWTH IN GREENFIELD/GROWTH AREAS The anticipated residential growth and associated staging of development in Hamilton s greenfield/growth areas is outlined in the following table. With the exception of Temple View, the following map also shows these areas and is sourced from Hamilton s Year Plan - hamilton.govt.nz/10yearplan Estimated Future Residential Lots and Staging of Development in Hamilton Growth Cell Remaining Likely Timing Capacity* Rototuna 4,000 Likely built out in next 10 years. Around 500 lots already consented for development over next few years. Peacockes Stage Likely built out in next 10 years. Around 250 lots already consented for development over next few years. Rotokauri Stage 1 1,300 Likely built out in next 10 years. Around 50 lots already consented for development over the next few years. Ruakura 1,800 Likely built out in next 10 years. Around 150 lots expected over next 2-3 years. Peacockes Stage 2 7,000 Beyond 10 Years. Rotokauri Stage 2 4,800 Beyond 10 Years. Temple View 5,700 Mostly beyond 10 Years, 40 lots currently consented, a similar number of others currently being planned. Total 25,300 * Excludes vacant titled lots; includes consented but untitled lots and vacant land Rototuna, in Hamilton s north-east, has seen strong residential growth in recent years. The remaining capacity of 4,000 lots is likely to be consumed within the next ten years. However, 500 lots are already consented and could see development within the next few years Rotokauri will likely see growth of up to 1,300 lots occurring within the next ten years, with significant capacity of further growth (4,800 lots) beyond this period Development within Ruakura of up to 1,800 lots is likely to occur within the next ten years, with about 50 lots consented and likely to be underway soon Largely due to infrastructure constraints, the majority of the Peacocke area (7,000 lots) will most likely see development beyond 10 years. However, as many as 700 lots could be developed within the next 10 years Similarly, whilst Temple View has significant capacity, this area may see the development of about 40 lots. However, most development (5,700 lots) is expected to take place in more than 10 years time. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 22

23 Hamilton s Key Current and Future Greenfield/Growth Areas A more detailed map showing Hamilton s planned residential growth in the city s greenfield/growth areas (which does show Temple View) can be accessed at (December%202014).pdf Over the next 10 years, HCC is planning to spend $90 million on new and upgraded assets and $338 million on new assets to provide for a growing city. Some of the key infrastructure projects planned to be undertaken over the next 10 years that are focussed on making appropriate provision for Hamilton s greenfield/growth areas include the following: New and upgraded roads in Rototuna (including connecting Resolution Drive to the Waikato Expressway): Years 1-10, $46.3 million. New and upgraded roads in Peacocke: Years 1-10, $18.1 million. New and upgraded roads in Rotokauri: Years 1-10, $23.9 million. Planning and designing a new bridge for north of the city: Year 8, $7.5 million. Water reservoir in Rototuna: Years 1-2, $14.6 million. Upgrading the Water Treatment Plant: Years 1-6, $28.7 million. Building new water mains in growth areas: Years 1-10, $23.2 million. Wet weather sewerage network storage: Years 1-9, $35.3 million. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 23

24 Upgrading the Sewerage Treatment Plant: Years 1-5, $19 million. Increasing sewerage network capacity: Years 1-10, $50.4 million. Stormwater infrastructure in Rotokauri: Years 7-10, $28.7M million. Purchasing land for future parks and reserves: Years 1-4, $1.4 million. Development of Rototuna sports park $6.1 million, construction in years RESIDENTIAL AND COMMERCIAL/ORGANISATION UPTAKE Stage 1 (UFB1) of ultrafast fibre rollout in Hamilton is anticipated to be completed by Ultrafast Fibre Ltd in December To date, the city s overall uptake of ultrafast broadband is running at 14.9%, higher than the national uptake figure of 13.8% As at 1 June 2015, ultrafast fibre was made accessible to 42,252 customer premises in Hamilton of the 54,648 total number of customer premises that need to be finished as part of the Government s UFB1 programme. This has resulted in a 77% completion rate. The balance of 12,396 customer premises is anticipated to be completed by December To date, 6,280 connections have been made to Hamilton s ultrafast fibre network, with residential properties comprising 81.1% of the uptake and businesses 16.4% (refer table below). Connections to the Hamilton Ultrafast Fibre Network (at June 2015) Type Connections % of Total Business 1, Education Health Residential 5, Retailer Total 6, Source: Ultrafast Fibre Ltd Also of note is that at March 2013, just on 37,000 Hamilton households had access to the internet i.e. 73.4% of the city s 50,388 households. This has increased significantly since March 2006, where the proportion was 59% (26,862 of Hamilton s 45,825 households). SPECIFIC APPLICATION AND SUPPORT OF ULTRAFAST FIBRE BROADBAND Ultrafast fibre is being used by an increasing number of key Hamilton businesses and organisations Various examples of the application and case studies of ultrafast broadband in Hamilton can be found on the Ultrafast Fibre Ltd website Support for continued rollout of ultrafast fibre in Hamilton has been received from a number of the city s businesses. A selection of correspondence outlining this support is contained in Appendix 2 of HCC s 10 July 2015 Registration of Interest-Support for UFB2 and the Mobile Black Spot Fund to the Ministry of Business, Innovation and Employment HCC s 10 July 2015 application can be accessed at hamilton.govt.nz/digitalhamilton D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 24

25 HAMILTON CITY COUNCIL S USE AND FUTURE PLANS FOR ULTRAFAST FIBRE Utilisation of ultrafast fibre is essential for HCC s IT and telecommunications platforms and architecture The main municipal building in Garden Place and numerous key outlying operations now utilise the benefits of ultrafast fibre in their operations, including: The Water Treatment Plant. The Wastewater Treatment Plant. Waikato Stadium. Claudelands Events Centre. All six HCC libraries, including the provision of WiFi to the community. Duke Street (City Parks and utilities works depot). Waikato Museum of Art and History. Hamilton Gardens. Waterworld swimming complex Usage of ultrafast fibre in these facilities has continued to increase over the past four years Most of the download speeds used in applications by HCC s various IT platforms/architecture is around 100 megabits per second With HCC s move to a public cloud hosted infrastructure (MS Azure based in Sydney), reliance on stable and reliable ultrafast broadband will increase as Council continues to leverage public cloud offerings Given the increasing use of data, associated cloud/storage back-up technology, mobility technology and applications and high definition video streaming/conferencing taking place in the local government arena, ultrafast fibre will continue to be a key component in HCC s future IT platforms and operations. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 25

26 APPENDIX 3: STAKEHOLDER ENGAGEMENT ON DIGITAL AND UFB UPTAKE AND OPPORTUNITIES In addition to local Hamilton business contacted, a number of Waikato stakeholders were engaged with to ascertain their perspective on digital and UFB availability and uptake, opportunities that exist to improve and areas where the HCC could assist. A list of the stakeholder organisations represented with a summary of their key points is set out in the table below. ORGANISATION/GROUP KEY POINTS UltraFast Fibre Limited - John Kelly, Programme Manager - Richard Riley, Marketing Director LearningWorks - Geoff Day, CEO UFB1 allowed for some growth areas, but with Hamilton as a growing city there are new growth and greenfield areas that need to be completed to avoid poor network islands within the city. Hamilton is an excellent city to invest further in as part of UFB2 as it will be an efficient area to build/extend due to it having populated areas, therefore a good number of New Zealander s reached for the investment and good uptake. HCC could assist with facilitating the consenting process, as well as co-ordinate with other councils in the region to align/standardise the consent process. HCC could also assist in promoting and improving awareness of UFB with homeowners. HCC have a role to vocalise the benefits of fibre for our great city and the opportunities (economic, well being and education) it brings to the city and region. Promote wide use of fibre/digital for business and education, and how it can bring together communities. HCC has the opportunity to get behind multi-day Hamilton UFB event in April-16 planned by UFF to mark the completion of UFB1 (first NZ city with Fibre) and promote awareness, including what fibre is and breaking down cost and installation myths. Opportunity for HCC to promote it as Our network (network for the benefit of the city and everyone in the community). Theme of got there first and build on the current HamiltON slogan. Moving to more e-learning with the use of digital technology, focus on interactive learning not just content presented on computers. Utilising digital methods to complement face to face classroom time for trades reduces travel and time away from work. Learning and courses are focused on many subject areas including traditional trades, literacy and numbers, English language for immigrants and digital literacy. Digital learning delivered to students in the Waikato and all over New Zealand, with UFB and improved networks an important enabler for this to be able to occur. Hamilton has two great tertiary learning institutes (Wintec and Waikato University) so Hamilton should be promoted more as an education centre. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 26

27 ORGANISATION/GROUP KEY POINTS Waikato Institute of Technology - Mark Flowers, CEO - Bradley Vines, Director of Information Technology Waikato Chambers of Commerce - William Durning, CEO Waikato Economic Strategy Governance Group - John Cook, Deputy Chairman There is untapped potential in Hamilton as a business and education centre. Promoting both Hamilton for business and education is an area the HCC could assist with. elearning and ebusiness has still in many cases been a substitution to attending a meeting rather than a way of working. However, improved networks are changing this and further awareness and education will help make the shift in both education and business. Wintec have a 5 year plan to move electures and etutorials, and currently creating material and digitising it on the web. Wintec has taken advantage of the network and cloud and have a number of their systems in the cloud that can be accessed from anywhere. Hamilton s 10 year plan is for the city to become the 3rd largest economy in New Zealand. Recognises that there is a lot of opportunity to progress greater use of technology and fast network connectivity in business, the promotion of Hamilton innovation hubs and Hamilton as an excellent location for technology business. Hamilton is an area that will have significant growth with its close proximity to Auckland and business growth opportunity in the region. Interested in taking a leadership role and co-ordinating demonstrating what businesses can do with technology, business targeted hubs, providing information and education in the region across all sectors. Engagement will be advanced in collaboration with other councils. HCC can have a role in assisting in creating awareness of UFB and its uses and benefits, as well as promoting Hamilton for business. Also HCC can assist in getting together the councils, tertiary institutions, health and iwi in the region. Developed an economic strategy for the Waikato region Waikato Means Business. A key area of focus in the strategy is building, attracting, and retaining skills and talent. Technology and a fast network are seen as enablers for access to talent through connecting via online portals the schools, career opportunities, tertiary intuitions, employers and candidates. Good network capability also ensures Hamilton and the region is seen as a fast and highly connected area and desirable place to live and work. LayerX Limited - Bruce Trevarthen, Founder and CEO Have built up significant technology business from start up in Ruakura innovation park - Hamilton. Utilise high speed networks for their business of providing cloud services from data centres in Hamilton and Auckland, and connecting with subsidiary business established in Canada. There is still an awareness gap in business in terms of what they can get from fast fibre and how they can get more effective D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 27

28 ORGANISATION/GROUP KEY POINTS WaikatoLink, University of Waikato - Duncan Mackintosh, CEO Waikato DHB Virtual Healthcare and NZ Telehealth Forum - Dr Ruth Large, Clinical Director - Virtual Healthcare and Deputy Chair Telehealth Forum services from cloud offerings. HCC could assist in the awareness among small business and be a leader in defining what Hamilton can become in the future. WaikatoLink commercialise university research and ideas. They have sold an analytics big data company coming from University innovation. Student population is important to Hamilton as it has a big benefit to the Hamilton and wider New Zealand economy. Access to ultra fast broadband from campus and home is important, including new areas within or just outside the current city boundary that don t yet have UFB planned. Students and when they move into work are early adopters of technology and expect to have access to ultrafast networks. They are the future of digital business in Hamilton. Full coverage with ultrafast broadband in and around the city is important to attracting and retaining digital talent and being able to promote Hamilton as a digital enabled region. Use of technology and high speed networks enables health professionals to diagnose illnesses and provide treatment without being in the room with the patient. Health related education and evaluation can also take place remotely. Provision of healthcare via use of remote technology has many benefits including: - People can be seen by their health professional and care team without having to leave the area in which they live. - People can better monitor and manage their own health, and get help when needed. - Lower health care costs. - More flexibility method for the healthcare workforce. Waikato DHB has created a new role to drive virtual healthcare and to deliver and report on initiatives that they are doing to improve health with the enablement and use of technology in the region. The initiatives are focused on looking at things that are visible and usable by the community. The future will be in providing elderly and chronically ill/infirmed/disabled better access to secondary and primary health care. Technology and network access will play a big part in the remote provision of this healthcare, including the use of video conferencing for checkups and assessments e.g. diabetes and rest home consultations in real-time over VC using ipads without person having to attend hospital. This will especially apply to rural areas outside Hamilton central city. - HCC can play a part in awareness and education on the availability and use of technology. They could also assist in the access to UFB via schools and to be used by the community as HUBS. Had tried and Min Ed and schools not keen to open up for people to use Schools as area to get local access. Councils could set up and allow access to libraries for education and health via VC. D DIGITAL STRATEGY UPDATE AND ENABLEMENT PLAN FOR HAMILTON HAMILTON CITY COUNCIL 28